Norm Wattenberger: Walmart and rfid chips

[Norm Wattenberger]

The World's largest retailer is planning to put rfid chips on every item they sell by Jan 2005. What's this to do with BJ? Well, that's about as mainstream as you can get. I would expect the price of the technology to drop dramatically and the acceptance and performance to increase just as dramatically. Meaning that we could start seeing these in casino chips sooner than I had expected.

Incidentally, it took 30 years for bar codes to catch on after they were invented. They finally reached the mainstream when WalMart started using them. For an Orwellian irony, WalMart began using barcodes in 1984.

[Johnny Bravo]

What's an rfid chip?

[Sharmon]

Radio Frenquency Identification Chip

> What's an rfid chip?

[Norm Wattenberger]

> What's an rfid chip?

A tiny transceiver. When hit with a radio signal they transmit unique identifying codes. They are used now for EZPass toll booths, among other things. Put in a casino chip, every chip would have a unique serial number that could be read through your clothing.

[Sharmon]

And track the chip from player to table to player etc. And tell if the chips leave the casino and when they re-enter and in whose pockets.

> A tiny transceiver. When hit with a radio
> signal they transmit unique identifying
> codes. They are used now for EZPass toll
> booths, among other things. Put in a casino
> chip, every chip would have a unique serial
> number that could be read through your
> clothing.

[Norm Wattenberger]

Depends on how much money they want to spend. At the moment it would be a total waste of money for a casino to invest IMHO. I think it will still be a waste of money a few years from now when the price drops to a nickel a chip. But, some casinos will certainly experiment. Star City Casino in Australia now uses rfid chips in employee uniforms to reduce theft. At least they have the sense to concentrate on the true risk of loss - inside theft as opposed to advantage play.

> And track the chip from player to table to
> player etc. And tell if the chips leave the
> casino and when they re-enter and in whose
> pockets.

[Johnny Bravo]

Let's hope it stays that way. Ratholing would be no good if this was to happen. Thanks for answering my question.

JB

> Depends on how much money they want to
> spend. At the moment it would be a total
> waste of money for a casino to invest IMHO.
> I think it will still be a waste of money a
> few years from now when the price drops to a
> nickel a chip. But, some casinos will
> certainly experiment. Star City Casino in
> Australia now uses rfid chips in employee
> uniforms to reduce theft. At least they have
> the sense to concentrate on the true risk of
> loss - inside theft as opposed to advantage
> play.